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Yes, every year. Unless you’re in a marketplace where prices drop every year you must find a creative way to increase your prices. It’s by far the easiest way to become rich.
You may have to repackage, restructure, unbundle services or use other tactics for this to fly, since a straight price increase may not go down so well in your marketplace.
Another reason you need to increase your prices is it forces you to be better. Better product, better marketing, better service. Growing your business this way ensures you are never left behind. Conversely, if all you have left to close the next sale is a lower price you may end up with no competitive advantage.
The reality is most businesses experience gradual margin shrinkage. It’s important you use your better prices to increase the margin; be sharp with your buying or improve your productivity, and reinvest your extra profits in improving your competitive edge further.
